Swedish Tax Agency Seeks To Claw Back Tax From E-Commerce

by Ulrika Lomas, Tax-News.com, Brussels

21 July 2009

Since 2007 the Swedish Tax Agency, Skatteverket, has been investigating Internet commerce with 60 fiscal officers in a nationwide enquiry to be wound up at the end of the year. Skatteverket estimates that yearly on-line tax evasion results in a revenue loss in the region of SEK5bn(USD640m) annually.

The investigations have led to assessments on individuals of SEK670m (USD86m) in back taxes, of which SEK350m (USD45m) were related to various poker websites, reported the Dagens Nyheter newspaper. "When it comes to poker sites, it often involves fake traders, whose servers are located abroad and pretend the business is located in some offshore centre, when in fact all the operatives are in Sweden," project manager Dag Hardyson told the Swedish newspaper, Dagens Nyheter.

According to Skatteverket, an example of e-commerce under investigation is the sale of avatars - characters for on-line role-play games. In the last 14 months, there have been 12,000 advertisements for avatars placed by around 7,000 private inviduals for a total estimated value of SEK662m(USD85m). Other examples include trading in domain names or whole internet sites, on-line marketplaces, porn, astrology and pharmaceutical sales.

.

 

 






Write a comment